Archive for March 2nd, 2011

The fall and rise of unions …

March 2, 2011

Great chart in yesterday’s WSJ.

The point of the article was the power of public unions.

My take: the steady decline in private sector unionization.

Why?

Not because company workforces have de-unionized, but because union companies have either (1) moved to non-union regions of the U.S., or (2) have off-shored operations, or (3) have gone out of business – collapsing under the weight of union wage & benefit scales.

Interesting analysis: I’d like to see a mapping of state tax rates against the presence of public employee unions.

My hypothesis: a very high correlation …  in part, indicating a vicious cycle: public unions drive up gov’t expenses – which drive up tax rates –  which drive companies & industries out of the states – which narrows the tax base – which drives up tax rates – which …

Surprised no pundits have jumped on that yet.

image

http://online.wsj.com/article/SB10001424052748704615504576172701898769040.html?mod=djemEditorialPage_h

Posted in Taxes, Unions - UAW | Leave a Comment »

Deep Thought: “Children begin by …”

March 2, 2011

“Children begin by loving their parents;

as they grow older they judge them;

sometimes they forgive them.”

 
Oscar Wilde, The Picture of Dorian Gray, 1891
http://www.quotationspage.com/quote/27153.html

(OK, so I heard it on Criminal Minds ….)

Posted in Quotations | Leave a Comment »

“Public-employee unions are a mechanism by which every taxpayer is forced to fund the Democratic Party.”

March 2, 2011

Snippets from an interesting article in the Daily Beast …

Punch line:  “The primary purpose of public unions today is to work against the financial interests of taxpayers” 

The primary purpose of private-sector unions today is to get workers a larger share of the profits they helped create. But with a power greater than their numbers, these unions have destroyed the manufacturing sector, forcing jobs overseas by driving labor costs above the price consumers here will pay.

Public employees are already protected by statutes that preclude arbitrary hiring and firing decisions.

So,. the primary purpose of public unions today, as ugly as it sounds, is to work against the financial interests of taxpayers: the more public employees are paid in wages and uncapped benefits, the less taxpayers keep of the money they earn.

Public-union bosses collect real money from all taxpayers for the benefit of a few …  public-sector jobs are funded by taxpayer dollars, forcibly collected by the government

A sizable portion of those dues is then donated by the public unions almost exclusively to Democratic candidates.

Of the top 20 biggest givers in federal-level politics over the past 20 years, 10 are unions; just four are corporations. The three biggest public unions gave $171.5 million for the 2010 elections alone.

Big money from public unions, collected through mandatory dues, and funded entirely by the taxpayer, is then redistributed as campaign cash to help elect the politicians who are then supposed to represent taxpayers in negotiations with those same unions.

In effect, the unions sit on both sides of the table and collectively bargain to raise taxes while the voters’ voice is silenced.

Michael Barone sums it up: “public-employee unions are a mechanism by which every taxpayer is forced to fund the Democratic Party.”

Daily Beast, More Politics End the Privileged Class, Feb 28, 2011

Posted in Unions - UAW | Leave a Comment »

“Public-employee unions are a mechanism by which every taxpayer is forced to fund the Democratic Party.”

March 2, 2011

Snippets from an interesting article in the Daily Beast …

Punch line:  “The primary purpose of public unions today is to work against the financial interests of taxpayers” 

The primary purpose of private-sector unions today is to get workers a larger share of the profits they helped create. But with a power greater than their numbers, these unions have destroyed the manufacturing sector, forcing jobs overseas by driving labor costs above the price consumers here will pay.

Public employees are already protected by statutes that preclude arbitrary hiring and firing decisions.

So,. the primary purpose of public unions today, as ugly as it sounds, is to work against the financial interests of taxpayers: the more public employees are paid in wages and uncapped benefits, the less taxpayers keep of the money they earn.

Public-union bosses collect real money from all taxpayers for the benefit of a few …  public-sector jobs are funded by taxpayer dollars, forcibly collected by the government

A sizable portion of those dues is then donated by the public unions almost exclusively to Democratic candidates.

Of the top 20 biggest givers in federal-level politics over the past 20 years, 10 are unions; just four are corporations. The three biggest public unions gave $171.5 million for the 2010 elections alone.

Big money from public unions, collected through mandatory dues, and funded entirely by the taxpayer, is then redistributed as campaign cash to help elect the politicians who are then supposed to represent taxpayers in negotiations with those same unions.

In effect, the unions sit on both sides of the table and collectively bargain to raise taxes while the voters’ voice is silenced.

Michael Barone sums it up: “public-employee unions are a mechanism by which every taxpayer is forced to fund the Democratic Party.”

Daily Beast, More Politics End the Privileged Class, Feb 28, 2011

Posted in Unions - UAW | Leave a Comment »

Groupon’s second mistake.. it’s response to its first mistake- offensive Superbowl Ads

March 2, 2011

TakeAway: Just because you were recently offered $6 Billion to be acquired does not mean you can do no wrong.

Groupon’s unclear response to the backlash from its Superbowl Ads was worse than the offense caused by the actual commercials. 

Groupon should take a lesson from Nokia about clear decisive message saving it from its earlier faux pas. 

* * * * *

Excerpted from AdAge, “Groupon vs. Nokia: The Right Way to Respond when Backed into a Corner”  by Rosanna Fiske, February 17, 2011

When CEOs of tech and digital media companies speak, people pay attention. …everyone is listening to the titans of the tech industry.

…recent statements from two well-regarded tech CEOs made international headlines. …Groupon’s botched attempts at explaining its much-hyped and controversial Super Bowl ad. The second was intended to be far more subdued; it was surely not meant for a global audience of several hundred million — the leaked “burning platform” memo from Nokia CEO Stephen Elop.

[In case you missed it, Groupon’s commercial made light of the political and social problems in Tibet – bringing the company more notoriety, than fame.]

The Groupon fallout has many questioning the company’s maturity and ability to handle immense market pressures. …the time for brushing aside their sometimes cavalier approach to communications is long past.

What exactly has allowed Groupon’s Super Bowl ad to continue haunting the company, …concern has far more to do with a general lack of acumen in Groupon’s communications with its customers and stakeholders, rather than the visual offensiveness of its advertising.

… Groupon … can no longer rely on the goodwill of the digerati. Letting slip an errant message in an email blast is one thing; offending a good portion of 111 million U.S. consumers is quite another.

…, Groupon chose the path of least resistance, with multiple attempts at acquiescing to outside interests.

After initially issuing an apology, Groupon CEO Andrew Mason in a blog entry… attempted to explain the ads by rehashing some pre-Groupon history. … a rash decision to pull the ads. This … approach clearly affects the company’s image and reputation.

Contrast … to the skillfully-written Nokia memo. … CEO Elop eloquently expressed his concerns, comparing the company’s faltering sales and prestige to “standing on a ‘burning platform,'” while imploring that “[Nokia] must decide how [it is] going to change [its] behavior.”

Little chance analysts, investors or employees might misconstrue that message.

Mr. Elop’s impassioned plea was decisive and clear; … he delivered a superbly contrasting perspective of how to act … when your company is on the brink of international acclaim …

Also revealed … a long-held secret of successful brands: … executives appear to have their act together and explain the “how” and “why” behind their thinking.

 

 

Edit by HH

 

* * * * *

Posted in Mktg - Advertising | Leave a Comment »